** Question No : 15**

__________ of depreciation calculation accounts for the interest on investment.

Straight line method

Declining balance

Both (A) and (B)

Neither (A) nor (B)

** Question No : 16**

Purchased cost of equipments for a chemical process plant ranges from __________ percent of the fixed capital investment.

10 to 20

20 to 40

45 to 60

65 to 75

** Question No : 17**

A reactor having a salvage value of Rs. 10000 is estimated to have a service life of 10 years. The annual interest rate is 10%. The original cost of the reactor was Rs. 80000. The book value of the reactor after 5 years using sinking fund depreciation method will be Rs.

40,096

43,196

53,196

60,196

** Question No : 18**

The __________ of a chemical company can be obtained directly from the balance sheet as the difference between current assets and current liabilities.

Cash ratio

Net working capital

Current ratio

Liquids assets

** Question No : 19**

According to six-tenths-factor rule, if the cost of a given unit at one capacity is known, then the cost of similar unit with '' times the capacity of the first unit is approximately equal to __________ times the cost of the initial unit.

n

n0.6

n0.4

√n

** Question No : 20**

Accumulated sum at the end of 5 years, if Rs. 10000 is invested now at 10% interest per annum on a compound basis is Rs.

15000

16105

18105

12500

** Question No : 21**

Which of the following is the costliest material of construction used in pressure vessel construction?

Low alloy steel

Lead

Titanium

High alloy steel